Australian news and politics live: Albanese’s tax change plans to tackle 400 per cent rise revealed

The Prime Minister has branded the Opposition Leader a “Temu Abbott”, while defending the government’s economic record in Parliament.

During Question Time, Angus Taylor challenged Mr Albanese on today’s national account numbers which showed living standards are going down.

The PM initially accused the Opposition of taking “an opportunity to talk Australia down” before launching a personal attack on Mr Taylor, comparing him to the former Liberal prime minister Tony Abbott.

“We have Temu Abbott over here trying to press buttons … those in the Liberal One National coalition of the three parties speak about battlers from time to time, but give a battler a wage increase and they hate it.”

Donald Trump is ignoring critics of his tariff policies and is set to impose additional duties ‌of 10 or 12.5 per cent on imports from 60 economies, including Australia.

The proposal from the US Trade Representative’s office on Tuesday is the latest finding from a Section 301 unfair trade practices investigation to be released as the Trump administration seeks to rebuild its emergency tariffs, which were struck down by a US Supreme Court decision in February.

The USTR said it determined that it would impose 10 per cent duties related to the forced labour investigation on imports from Canada, Ecuador, the European Union, Mexico, Pakistan, Argentina, Bangladesh, Cambodia, El Salvador, Guatemala, Indonesia, Malaysia, Taiwan and Britain.

The trade agency said it would impose additional duties of 12.5 per cent on the remaining 45 countries that it investigated, including Australia.

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- AAP

Prime Minister Anthony Albanese has spoken about his controversial tax changes in Parliament, saying it is time to give younger people the opportunity they have been robbed of, at the cost of other generations.

“Since 1999 house prices have risen by more than 400 per cent, more than two times as fast as average incomes in the same period,’’ he told Parliament on Wednesday.

“The changes that the Howard government made to capital gains tax in 1999 were meant to boost investment in the share market.

“Instead, they turbocharged property investment year after year, more and more young Australians being locked out of the market by tax breaks that favoured property investors, widening a gap between the generations and eating away at aspiration.”

Mr Albanese’s ambitions to get younger people into the property market have been no secret.

“(Since 1999) The rate of home ownership among Australians aged 25 to 34 has fallen by 7 per cent,” he said on Wednesday.

“Now we owe the next generation better than this, and that’s what these reforms are about.”

A Labor senator has suggested some doctors in tight markets are engaging in “cartel behaviour” by acting together to boycott or hold out on joining the government’s $8.5 billion Medicare scheme.

Michelle Ananda-Rajah — who was a doctor prior to entering Parliament as a Labor Senator — expressed her concerns over the roll out during Wednesday’s Senate estimates.

“I received some anecdotal feedback just on my travels from community members to particular regions where there’s been some pressure on some doctors to not bulk bill,” the Labor senator said.

“This is in, again, areas where there are a few clinics and it’s a little bit like cartel behaviour.”

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The incoming Defence Chief, Vice Admiral Mark Hammond, has revealed he was directed by the Government to speak at an event in Washington, hosted by former Liberal Defence Minister turned lobbyist, Christopher Pyne.

During Senate estimates, Greens Senator David Shoebridge has quizzed the Navy Chief about his appearance at the $5000 per head event run by the Pyne & Partners lobbying firm, as revealed by The Nightly earlier this year.

“That invitation came in late last year, it was referred to the Minister’s office and I was directed to support it,” Admiral Hammond told the committee when questioned about the appearance.

“I don’t solicit speaking engagements, I don’t freewheel in that respect senator. When I’m asked to do media engagements or directed to do them, I do them”.

Australia’s economy has slowed as a result of interest rate rises earlier this year, while productivity in the opening months of 2026 went backwards.

Gross domestic product in the year to March 30 eased slightly to 2.5 per cent, down from an annual pace of 2.6 per cent last year.

That followed the Reserve Bank’s rate rises in February and March that took the cash rate to 4.1 per cent before the May increase.

Productivity also fell by 0.6 per cent in the March quarter for a very weak annual growth pace of 0.3 per cent.

GDP per capita was down 0.1 during the first three months of 2026 for a lacklustre annual increase of 1 per cent.

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Electric vehicles and hybrids made up 46 per cent of new car sales in May during the second full month of the Iran war, new figures show.

Demand is soaring for EVs even though overall new car sales last month were 4.8 per cent weaker compared with May 2025 when the Reserve Bank was cutting rather than increasing interest rates.

Battery-electric cars had a record 20 per cent market share in May, marking a 167 per cent increase compared with a year ago, new Federal Chamber of Automotive Industries data showed.

Fully-electric, petrol-electric hybrid and plug-in hybrid vehicles had a combined 46 per cent market share last month, even though the Federal Government had temporarily halved fuel excise to 26.3 cents a litre for three months.

FCAI chief executive Tony Weber said SUV buyers in particular were embracing EVs and hybrids as a result of the Middle East oil crisis.

“Today’s SUV buyer is increasingly choosing hybrid, plug-in hybrid and electric options,” he said.

The new prime minister of the Solomon Islands says he will review a controversial security deal his country signed with China in 2022, but says he is yet to closely read the document.

In his first official overseas trip since taking up the role, Matthew Wale has been welcomed to Canberra by his Australian counterpart, Anthony Albanese, where they have announced they will elevate bi-lateral relations in a new treaty.

Asked about the 2022 security deal with China, the Solomons PM confirmed “we are going to review it”, but pointed out it also included a “non-disclosure clause”.

Australia has been highly critical of the secret security document, but Mr Albanese insists his government respects the sovereignty of other nations.

Solomon Islands Prime Minister Matthew Wale has been welcomed to Parliament House with full ceremonial honours as he begins a closely watched visit to Australia, where talks are expected to focus on regional security, economic cooperation and Canberra’s relationship with the Pacific nation.

Prime Minister Anthony Albanese greeted Mr Wale and First Lady Ruala Waletofea on Parliament’s forecourt after a formal military reception featuring a Federation Guard inspection, ceremonial salutes and performances of both countries’ national anthems.

The pair later met senior Australian figures including Foreign Minister Penny Wong, Opposition Treasury spokesman Angus Taylor and Speaker Milton Dick before signing the official guest book inside Parliament House and greeting school children waving Australian and Solomon Islands flags.

“This is Prime Minister Wale and Madam Wale, they’ve come all the way from the Solomon Islands,” Mr Albanese told the children, joking that it was a “bit cold, but not raining” in Canberra.

Foreign Minister Penny Wong has defended changes to Australia’s AUKUS submarine acquisition plan, arguing the focus should remain on military capability rather than whether the vessels are new or second-hand.

The comments follow revelations from Defence Secretary Meghan Quinn that Australia had long preferred acquiring three in-service Virginia-class submarines from the United States, despite the original AUKUS pathway involving two used submarines and one new vessel.

Asked about the revised arrangement, Senator Wong said the decision reflected discussions between Canberra and Washington about Australia’s defence needs.

“Whether it’s two (used) and one (new), or three, it’s the capability that matters,” she told ABC Radio.

“I mean, these are capability decisions, which are discussed between the United States and Australia, but I don’t believe as much turns on it as you are putting to me. We want three submarines from the United States to deal with their capability gap before the AUKUS submarines are to be delivered, that is the plan.”